project

Nexus Energy (NXS) rejects the talks that it had given up control of its Crux liquefied natural gas (LNG) field after it handed 80 per cent of its ownership to petroleum giant Royal Dutch Shell for no cash cost last Tuesday. Shell, who is now in control to develop and operate the project, intends to pipe gas from Crux to a Prelude floating liquified natural gas vessel in Western Australia's Browse Basin.

Oil and gas company Santos (STO) has confirmed that it will develop the Fletcher Finucane oil project in Carnarvon Basin off the northwest coast of Western Australia worth $490 million. Santos will contribute $236 million of the capital expenditure of the project as its venture participants Kufpec Australia and JX Nippol Oil and Gas will share for the remaining costs.

Brisbane-based coal explorer Bandanna Energy (BND) is seeking for partnerships to help in funding the development of its mines in Queensland's Bowen Basin. Bandanna is currently pursuing discussions with a number of third parties interested for partnerships.

Magnetite producer Grange Resources (GRR) is selling a portion of its stake in the Southdown iron ore project in Western Australia to add more fund to the $2.57 billion export venture. Grange currently owns 70 per cent stake of Southdown as Japan's Sojitz owns the other 30 per cent.

Rio Tinto (ASX:RIO) says that labour shortages and the soaring Australian dollar are responsible for rising costs, and the companies expansion plans are getting blocked as a result.

In a Perth presentation yesterday, Iron ore chief Sam Walsh said that projects will be difficult to accomplish. "From a financing viewpoint, we are seeing some projects over-running their costs," said Walsh.

"All this means the projects are going to be harder to bring on."

BHP Billiton (ASX:BHP) will invest $463.75 million to develop the Jansen Potash project in Saskatchewan, Canada. The funds will prepare the site for the said project, developing 350 metres of service and production shafts once the government approvals are received.

BHP Billiton (ASX:BHP) is close to starting the world's biggest mining development. According to an environmental statement, the mining giant will spend $30 billion to access the core.

According to BHP's president Dean Dalla Valle, the giant ore body is in the shape of a frying pan. The underground mine will take ore from the handle and the open pit mine will be based on the ''pan''.

Delays and tensions mount over Woodside Petroleum's (ASX:WPL) Sunrise project. The Government of East Timor demanded the gas processing to be done on land but Woodside prefers a floating facility. Woodside holds a 33.4 percent interest in the Greater Sunrise gas development in the Timor Sea North of Australia.

Australian engineering company, Downer EDI (ASX:DOW) has announced that the company has closed a $2 billion contract agreement for works at a BHP Billiton Mitsubishi Alliance coal mining project including projects at Goonyella Riverside and Norwich Park coal mines, both located at the Bower Basin in central Queensland. The project will run until June 2015.

Downer EDI Project

The Western Australia based iron exploration and mining company BC Iron (BCI) has declared that it is going to move forward with its multimillion dollar worth of Nullagine iron ore join venture project by following the schedule. The declaration came in at a time when the entire mining industry of Australia is engaged into a debate with the federal Government regarding the effects the tax would have in this sector. BC Iron too has expressed its concerns regarding the tax.